The PEPPER program will produce 5 ×8 informationals when the information on the BCM
or MBR is such that an automated termination is not possible. There are currently
nine reasons for this exception to occur. These exceptions will contain the acronym
“STAR” at the end of line 5 of the 5 × 8 informational form.
1.1 (or 2) Intervening Action
An action is pending in the PESO system that may alter the decision to terminate the
2.4 BIC NIF
The BIC being terminated is not on record. If there is an equivalent BIC on the MBR
(e.g., a BIC of A on the MBR and T on the BCM) it will be shown.
3.5 Unacceptable LAF
The LAF recorded on the MBR will be displayed.
4.6 Invalid HOC
Premium-HI is present but is not being terminated when the SMI is terminated. If a
Part A termination is involved, the HOC must be “Y.” Where a Part A reversal is involved, the HOC must be “T.”
5.7 SOC Not Y or G-Termination
The SOC on the MBR is other than a “G,” “Y,” or “T.” If an SMI termination is involved, the SOC must be either a “Y” or a “G.” Where an SMI reversal is involved the SOC must be a “T.”
6.8 MBR-Third Party, 09 MBR-Withdrawn, 10 MBR-Railroad, 11 CAN NIF
The exception informationals will be associated with their respective BCM printouts
and claims folders by the Records Analysis Clerk and given to the Exception and Inquiries
Examiner for a determination as to which record is correct, whether the termination
action would or would not have been proper, and what action is required to correct
the erroneous record (BCM or MBR).
The corrective action must be taken and may involve
MADCAP, MISCOR CIP R, SIC cards or SSA-1592TC actions. If it is determined that the
termination is in order, process a manual termination and send a notice patterned
after the HCFA-1589 (see NL 00722.027) or HCFA-2654 (see NL 00722.031). The date of this letter should be the first day of the month the manual termination